EASTON, Md., Jan. 31, 2019 /PRNewswire/ -- Shore
Bancshares, Inc. (NASDAQ: SHBI) reported net income of $12.094 million or $0.95 per diluted common share for the fourth
quarter of 2018, which included the sale of its retail insurance
business, Avon Dixon, LLC ("Avon") on December 31, 2018 for net proceeds of
$25.2 million and a net gain after
tax of $8.2 million, or $0.64 per diluted common share. Absent the
sale of Avon, the Company reported net income of $3.905 million or $0.31 per diluted common share for the fourth
quarter of 2018. This compared to net income of $4.454 million or $0.35 per diluted common share for the third
quarter of 2018, and net income of $2.698
million or $0.21 per diluted
common share for the fourth quarter of 2017. The Company
reported net income of $24.997
million or $1.96 per diluted
common share for fiscal year 2018. Excluding the sale of Avon, the
Company reported net income of $16.832
million or $1.32 per diluted
common share for fiscal year 2018. This compared to net
income of $11.262 million, or
$0.89 per diluted common share for
fiscal year 2017, an increase of $5.6
million, or $0.43 per diluted
common share.
When comparing the fourth quarter of 2018 to the third quarter
of 2018, excluding the sale of Avon, net income decreased due to
higher interest expenses on deposits and borrowings coupled with a
higher provision for credit losses. When comparing the fourth
quarter of 2018 to the fourth quarter of 2017, excluding the sale
of Avon, the improved results were driven by an increase in net
interest income due to higher loan volume, partially offset by an
increase in interest expenses which included competitive pressure
to increase core deposit rates. When comparing fiscal year
2018 to fiscal year 2017, excluding the sale of Avon, improved
earnings were due to increases in net interest income of
$5.1 million and noninterest income
of $603 thousand. In addition, the
provision for credit losses declined $617
thousand. Partially offsetting these positive variances were
increases in interest expenses of $3.0
million and noninterest expenses of $3.5 million. The reduced corporate income
tax rate from 35% in 2017 to 21% for 2018 was also a contributing
factor for improved earnings when comparing the fourth quarter and
fiscal year 2018 to the fourth quarter and fiscal year 2017.
"This has been a significant year for the Company, in terms of
loan growth, core earnings and the divesture of our insurance
agency Avon-Dixon," said Lloyd L. "Scott" Beatty Jr., CEO. "The
proceeds from the sale of our insurance agency will provide the
opportunity to fund new loan growth and expand our activities in
some of our new markets. As we look forward to 2019, we are
committed to our strategic plan for growing the Company both
organically and through opportunistic acquisitions."
Balance Sheet Review
Total assets were $1.483 billion at December
31, 2018, a $89.2 million, or
6.4%, increase when compared to $1.394
billion at the end of 2017. The primary reason for the
increase was the addition of $101.8
million in loans or 9.3%, which were funded by a decrease in
investment securities available for sale of $42.5 million, and an increase in short-term and
long-term borrowings of $54.1
million.
Total deposits at December 31,
2018 increased $9.6 million,
or less than 1%, when compared to December
31, 2017. The increase was due to increases in rates
paid on core deposits as well as a new insured cash sweep ("ICS")
product for customers.
Total stockholders' equity increased $19.5 million, or 11.9%, when compared to the end
of 2017 primarily due to current year's earnings which included the
sale of Avon, partially offset by common stock dividends paid to
shareholders of $4.1 million.
At December 31, 2018, the ratio of
total equity to total assets was 12.35% and the ratio of total
tangible equity to total tangible assets was 11.13%, higher than
the ratios of 11.75% and 9.65%, respectively, at December 31, 2017. These ratios were
significantly impacted by the sale of Avon on December 31, 2018, which resulted in the
transition of intangible assets to tangible assets.
Review of Quarterly Financial Results
Net interest
income was $12.5 million for the
fourth quarter of 2018, compared to $12.9
million for the third quarter of 2018 and $12.4 million for the fourth quarter of
2017. The decrease in net interest income when compared to
the third quarter of 2018 was primarily due to an increase in
interest on deposits of $751 thousand
and borrowings of $128
thousand. The increase in interest on core deposits
was implemented late in the third quarter and the entire fourth
quarter of 2018 to combat competitive market rates. This had
a significant impact on the net interest margin, resulting in a
decline of 18 bps. The increase in net interest income when
compared to the fourth quarter of 2017 was due to significant
increases in average loans of $126.5
million, or 11.9%. Total interest income on loans
increased $1.7 million, or 13.0% in
the fourth quarter of 2018 as compared to the fourth quarter of
2017, which was mostly offset by an increase in interest expense of
$1.6 million, or 261.9%. In
addition, the yield on total earning assets increased 21 bps, while
the cost of interest-bearing liabilities increased 64 bps quarter
over quarter. These variances resulted in a net interest
margin of 3.58% for the fourth quarter of 2018, compared to 3.81%
for the fourth quarter of 2017.
The provision for credit losses was $460
thousand for the fourth quarter of 2018, $307 thousand for the third quarter of 2018 and
$545 thousand for the fourth quarter
of 2017. The higher level of provision for credit losses when
comparing the fourth quarter of 2018 to the third quarter of 2018
was primarily due to one large credit of approximately $7.5 million, transitioning to nonaccrual during
the fourth quarter. The Company took a partial charge-off on this
relationship and no additional loss is anticipated. The decline in
the provision for credit losses when comparing the fourth quarter
of 2018 to the fourth quarter of 2017, was due to significant
growth in the portfolio and overall improved credit quality despite
the large nonaccrual added in the fourth quarter of 2018. Net
charge-offs were $445 thousand for
the fourth quarter of 2018, $100
thousand for the third quarter of 2018 and $59 thousand for the fourth quarter of
2017. The increase in net charge-offs was directly related to
the one large credit discussed above. The ratio of annualized net
charge-offs to average loans was 0.15% for the fourth quarter of
2018, 0.03% for the third quarter of 2018 and 0.02% for the fourth
quarter of 2017. The ratio of the allowance for credit losses
to period-end loans for both December 31,
2018 and September 30, 2018
was 0.87% and was 0.89% at December
31, 2017.
At December 31, 2018,
nonperforming assets, excluding accruing TDRs, were $18.0 million, an increase of $9.1 million, or 102.8%, when compared to
September 30, 2018 and an increase of
$10.6 million, or 143.3%, when
compared to December 31, 2017.
Additionally, accruing TDRs were $8.7
million at December 31, 2018,
a decrease of $270 thousand, or 3.0%,
when compared to September 30, 2018
and a decrease of $4.7 million, or
35.0%, when compared to December 31,
2017. Although a significant nonaccrual loan was added late
in the fourth quarter of 2018, the Company had been experiencing
positive trends through continued workout efforts and charge-offs
on persistent troubled borrowers for the last 12 months. At
December 31, 2018, the ratio of
nonperforming assets to total assets was 1.21%, higher than the
0.60% at September 30, 2018 and 0.53%
at December 31, 2017. However,
the ratio of accruing TDRs to total assets at December 31, 2018 was 0.58%, compared to 0.61% at
September 30, 2018 and 0.96% at
December 31, 2017.
Total noninterest income for the fourth quarter of 2018,
excluding the sale of Avon, decreased $292
thousand, or 6.2%, when compared to the third quarter of
2018 and increased $79 thousand, or
1.8%, when compared to the fourth quarter of 2017. The
decrease from the third quarter of 2018 was primarily due to a
decline in insurance agency commissions of $179 thousand, which is typical during the last
quarter of the year, and the additional distraction of the sale of
Avon. The increase from the fourth quarter of 2017, excluding
the sale of Avon, of $79 thousand was
the result of increases in insurance agency commissions of
$93 thousand and service charges on
deposit accounts of $74 thousand,
partially offset by a decrease in trust and investment fee income
of $50 thousand.
Total noninterest expense for the fourth quarter of 2018
decreased $112 thousand, or 1.0%,
when compared to the third quarter of 2018 and increased
$542 thousand, or 5.1%, when compared
to the fourth quarter of 2017. The decrease from the third
quarter of 2018 was primarily due to lower costs associated with
employee benefits due to reduced medical claims from the Company's
self-funded insurance program and lower salaries and wages due to
lower accrued bonus and incentive payouts. Partially
offsetting these decreases in noninterest expense were higher legal
and professional fees, mostly related to negotiating the sale of
Avon, and a write-down of a single other real estate owned property
of $212 thousand. The increase from
the fourth quarter of 2017 was primarily due to increases in other
real estate owned write-downs, higher legal fees due to the sale of
Avon and additional amortization of intangibles acquired in the
Northwest branch acquisition in 2017.
Review of 2018 Financial Results
Net interest income
for 2018 was $50.6 million, an
increase of $5.1 million, or 11.2%,
when compared to 2017 primarily due to an increase in average loans
of $169.7 million, or 17.3%.
The significant increase in loans generated higher interest income
of approximately $7.7 million, or
17.7%. Although the yields on loans remained flat when compared to
2017, the growth and the transition of lower yielding assets to
higher yielding loans resulted in a higher overall yield on earning
assets of 18bps. This was offset by higher rates paid on
interest-bearing deposits and increased borrowings resulting in
compression of the net interest margin to 3.74% for fiscal 2018
from 3.76% for fiscal 2017.
The provision for credit losses for 2018 and 2017 was
$1.7 million and $2.3 million, respectively, while net charge-offs
were $1.1 million and $1.2 million, respectively. The ratio of
annualized net charge-offs to average loans was 0.10% for 2018 and
0.13% for 2017.
Total noninterest income, excluding the sale of Avon, for 2018
increased $603 thousand, or 3.4%,
when compared to 2017. The increase was primarily due to
increases in service charges on deposit accounts of $251 thousand and insurance agency commissions of
$169 thousand.
Total noninterest expense for 2018 increased $3.5 million, or 8.6%, when compared to
2017. The increase was primarily due to the cost of operating
four additional branches for an entire year which caused increases
in almost all noninterest expense line items, offset by lower fees
for data processing due to renegotiating the core processor
contract in 2018 and lower legal/professional fees related to the
branch acquisition in 2017.
Shore Bancshares Information
Shore Bancshares is a
financial holding company headquartered in Easton, Maryland and is the largest
independent bank holding company located on Maryland's Eastern Shore. It is the parent
company of Shore United Bank and an insurance premium finance
company, Mubell Finance, LLC. Shore Bancshares engages in trust and
wealth management services through Wye Financial & Trust, a
division of Shore United Bank. Additional information is
available at www.shorebancshares.com.
Forward-Looking Statements
The statements contained
herein that are not historical facts are forward-looking statements
(as defined by the Private Securities Litigation Reform Act of
1995) based on management's current expectations and beliefs
concerning future developments and their potential effects on the
Company. Such statements involve inherent risks and uncertainties,
many of which are difficult to predict and are generally beyond the
control of the Company. There can be no assurance that future
developments affecting the Company will be the same as those
anticipated by management. These statements are evidenced by terms
such as "anticipate," "estimate," "should," "expect," "believe,"
"intend," and similar expressions. Although these statements
reflect management's good faith beliefs and projections, they are
not guarantees of future performance and they may not prove true.
These projections involve risk and uncertainties that could cause
actual results to differ materially from those addressed in the
forward-looking statements. For a discussion of these risks and
uncertainties, see the section of the periodic reports filed by
Shore Bancshares, Inc. with the Securities and Exchange Commission
entitled "Risk Factors".
The Company specifically disclaims any obligation to update any
factors or to publicly announce the result of revisions to any of
the forward-looking statements included herein to reflect future
events or developments.
Shore Bancshares,
Inc.
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Financial
Highlights
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(Dollars in
thousands, except per share data)
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For the
Three Months Ended
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For the Twelve Months
Ended
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December
31,
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December
31,
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2018
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2017
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Change
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2018
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2017
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Change
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PROFITABILITY FOR THE
PERIOD
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Net interest
income
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$
12,726
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$
12,369
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2.9
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%
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$
50,635
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$
45,528
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11.2
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%
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Provision for credit
losses
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460
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545
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(15.6)
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1,674
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2,291
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(26.9)
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Noninterest
income
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16,910
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4,339
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289.7
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31,089
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17,750
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75.1
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Noninterest
expense
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11,174
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10,632
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5.1
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44,750
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41,202
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8.6
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Income before income
taxes
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18,002
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5,531
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225.5
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35,300
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19,785
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78.4
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Income tax
expense
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5,908
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2,833
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108.5
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10,303
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8,523
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20.9
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Net income
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$
12,094
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$
2,698
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348.3
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$
24,997
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$
11,262
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122.0
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Return on average
assets
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3.28
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%
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0.78
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%
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250
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bp
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1.74
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%
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0.87
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%
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87
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bp
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Return on average
equity
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27.70
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6.53
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2,117
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14.81
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7.05
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776
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Return on average tangible
equity (1)
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34.42
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8.36
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2,606
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18.78
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8.36
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1,042
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Net interest
margin
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3.58
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3.81
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(23)
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3.74
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3.76
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(2)
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Efficiency ratio -
GAAP
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37.70
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63.63
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(2,593)
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54.76
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65.11
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(1,035)
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Efficiency ratio - Non-GAAP
(1)
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36.72
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62.73
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(2,601)
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53.57
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64.37
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(1,080)
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PER SHARE
DATA
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Basic net income per common
share
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$
0.95
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$
0.21
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352.4
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%
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$
1.96
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$
0.89
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120.2
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%
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Diluted net income per
common share
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0.95
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0.21
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352.4
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1.96
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0.89
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120.2
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Dividends paid per common
share
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0.09
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0.07
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28.6
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0.32
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0.22
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45.5
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Book value per common share
at period end
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14.37
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12.90
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11.4
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Tangible book value per
common share at period end (1)
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12.77
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10.36
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23.3
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Market value at period
end
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14.54
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16.70
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(12.9)
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14.54
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Market range:
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High
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18.32
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18.49
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(0.9)
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20.09
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18.49
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8.7
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Low
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12.95
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15.74
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(17.7)
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12.95
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14.64
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(11.5)
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AVERAGE BALANCE SHEET
DATA
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Loans
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$
1,189,504
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$
1,062,980
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11.9
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%
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$
1,153,169
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$
983,484
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17.3
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%
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Investment
securities
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177,700
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211,910
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(16.1)
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189,879
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201,879
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(5.9)
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Earning assets
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1,385,368
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1,294,768
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7.0
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1,357,755
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1,216,182
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11.6
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Assets
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1,463,839
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1,378,553
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6.2
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1,435,914
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1,287,751
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11.5
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Deposits
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1,197,445
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1,202,260
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(0.4)
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1,180,288
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1,118,075
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5.6
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Stockholders'
equity
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173,214
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163,893
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5.7
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168,782
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159,741
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5.7
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CREDIT QUALITY
DATA
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Net charge-offs
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$
445
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$
59
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654.2
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%
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$
1,112
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$
1,236
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(10.0)
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%
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Nonaccrual
loans
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$
16,655
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$
4,971
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235.0
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Loans 90 days past due and
still accruing
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139
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639
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(78.2)
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Other real estate
owned
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1,222
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1,794
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(31.9)
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Total nonperforming
assets
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18,016
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7,404
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143.3
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Accruing troubled debt
restructurings (TDRs)
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8,663
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13,326
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(35.0)
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Total nonperforming assets
and accruing TDRs
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$
26,679
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$
20,730
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28.7
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CAPITAL AND CREDIT
QUALITY RATIOS
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Period-end equity to
assets
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12.35
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%
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11.75
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%
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60
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bp
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Period-end tangible equity
to tangible assets (1)
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11.13
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9.65
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148
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Annualized net charge-offs
to average loans
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0.15
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0.02
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13
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0.10
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%
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0.13
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%
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(3)
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bp
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Allowance for credit losses
as a percent of:
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Period-end loans
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0.87
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0.89
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(2)
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Nonaccrual
loans
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62.10
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196.76
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(13,466)
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Nonperforming
assets
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57.41
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132.10
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(7,469)
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Accruing
TDRs
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119.39
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73.40
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4,599
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Nonperforming assets and
accruing TDRs
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38.77
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47.18
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(841)
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As a percent of total
loans:
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Nonaccrual
loans
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1.39
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0.45
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94
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Accruing TDRs
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0.72
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1.22
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(50)
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Nonaccrual loans and
accruing TDRs
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2.12
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1.67
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45
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As a percent of total
loans+other real estate owned:
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming
assets
|
1.51
|
|
0.68
|
|
83
|
|
|
|
|
|
|
|
Nonperforming assets and
accruing TDRs
|
2.23
|
|
1.89
|
|
34
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As a percent of total
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
1.12
|
|
0.36
|
|
76
|
|
|
|
|
|
|
|
Nonperforming
assets
|
1.21
|
|
0.53
|
|
68
|
|
|
|
|
|
|
|
Accruing
TDRs
|
0.58
|
|
0.96
|
|
(38)
|
|
|
|
|
|
|
|
Nonperforming assets and
accruing TDRs
|
1.80
|
|
1.49
|
|
31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See the
reconciliation table on page 12 of 12.
|
|
|
|
|
|
|
|
|
|
|
|
|
Shore Bancshares,
Inc.
|
|
|
|
|
|
|
Consolidated Balance
Sheets
|
|
|
|
|
|
|
(In thousands, except
per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
2018
|
|
|
December
31,
|
|
December
31,
|
|
compared
to
|
|
|
2018
|
|
2017
|
|
December 31,
2017
|
|
ASSETS
|
|
|
|
|
|
|
Cash and due from banks
|
$
16,294
|
|
$
21,534
|
|
(24.3)
|
%
|
Interest-bearing deposits with other banks
|
50,931
|
|
10,286
|
|
395.1
|
|
Cash and cash
equivalents
|
67,225
|
|
31,820
|
|
111.3
|
|
|
|
|
|
|
|
|
Investment securities available for sale (at fair value)
|
154,432
|
|
196,955
|
|
(21.6)
|
|
Investment securities held to maturity
|
6,043
|
|
6,247
|
|
(3.3)
|
|
Equity securities, at fair value
|
1,269
|
|
-
|
|
-
|
|
Federal Reserve and Federal Home Loan Bank stock
|
6,476
|
|
3,735
|
|
73.4
|
|
|
|
|
|
|
|
|
Loans
|
1,195,355
|
|
1,093,514
|
|
9.3
|
|
Less: allowance for credit losses
|
(10,343)
|
|
(9,781)
|
|
5.7
|
|
Loans, net
|
1,185,012
|
|
1,083,733
|
|
9.3
|
|
|
|
|
|
|
|
|
Premises and equipment, net
|
22,711
|
|
23,054
|
|
(1.5)
|
|
Goodwill
|
17,526
|
|
27,618
|
|
(36.5)
|
|
Other intangible assets, net
|
2,857
|
|
4,719
|
|
(39.5)
|
|
Other real estate owned, net
|
1,222
|
|
1,794
|
|
(31.9)
|
|
Other assets
|
18,303
|
|
14,185
|
|
29.0
|
|
|
|
|
|
|
|
|
Total assets
|
$
1,483,076
|
|
$
1,393,860
|
|
6.4
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
Noninterest-bearing deposits
|
$
330,466
|
|
$
328,322
|
|
0.7
|
|
Interest-bearing deposits
|
881,875
|
|
874,459
|
|
0.8
|
|
Total deposits
|
1,212,341
|
|
1,202,781
|
|
0.8
|
|
|
|
|
|
|
|
|
Short-term borrowings
|
60,812
|
|
21,734
|
|
179.8
|
|
Long-term borrowings
|
15,000
|
|
-
|
|
-
|
|
Accrued expenses and other liabilities
|
11,738
|
|
5,609
|
|
109.3
|
|
Total liabilities
|
1,299,891
|
|
1,230,124
|
|
5.7
|
|
|
|
|
|
|
|
|
STOCKHOLDERS'
EQUITY
|
|
|
|
|
|
|
Common stock, par value $0.01; authorized
|
|
|
|
|
|
|
35,000,000
shares
|
127
|
|
127
|
|
-
|
|
Additional paid in capital
|
65,434
|
|
65,256
|
|
0.3
|
|
Retained earnings
|
120,574
|
|
99,662
|
|
21.0
|
|
Accumulated other comprehensive (loss)
|
(2,950)
|
|
(1,309)
|
|
(125.4)
|
|
Total stockholders' equity
|
183,185
|
|
163,736
|
|
11.9
|
|
|
|
|
|
|
|
|
Total liabilities and stockholders' equity
|
$
1,483,076
|
|
$
1,393,860
|
|
6.4
|
|
|
|
|
|
|
|
|
Period-end common
shares outstanding
|
12,749
|
|
12,688
|
|
0.5
|
|
Book value per common
share
|
$
14.37
|
|
$
12.90
|
|
11.4
|
|
Shore Bancshares,
Inc.
|
|
|
|
|
|
|
|
|
|
|
Consolidated
Statements of Income
|
|
|
|
|
|
|
|
|
|
|
(In thousands, except
per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended
|
|
For the Twelve Months
Ended
|
|
|
December
31,
|
|
December
31,
|
|
|
2018
|
|
2017
|
% Change
|
|
2018
|
|
2017
|
% Change
|
|
INTEREST
INCOME
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on loans
|
$
13,452
|
|
$
11,855
|
13.5
|
%
|
$
51,332
|
|
$
43,617
|
17.7
|
%
|
Interest on investment securities:
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
1,339
|
|
1,048
|
27.8
|
|
4,289
|
|
3,847
|
11.5
|
|
Tax-exempt
|
-
|
|
-
|
-
|
|
-
|
|
3
|
(100.0)
|
|
Interest on deposits with other banks
|
103
|
|
65
|
58.5
|
|
286
|
|
334
|
(14.4)
|
|
Total interest income
|
14,894
|
|
12,968
|
14.9
|
|
55,907
|
|
47,801
|
17.0
|
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE
|
|
|
|
|
|
|
|
|
|
|
Interest on deposits
|
1,577
|
|
586
|
169.1
|
|
3,531
|
|
2,242
|
57.5
|
|
Interest on short-term borrowings
|
486
|
|
13
|
3,638.5
|
|
1,636
|
|
31
|
5,177.4
|
|
Interest on long-term borrowings
|
105
|
|
-
|
-
|
|
105
|
|
-
|
-
|
|
Total interest expense
|
2,168
|
|
599
|
261.9
|
|
5,272
|
|
2,273
|
131.9
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INTEREST
INCOME
|
12,726
|
|
12,369
|
2.9
|
|
50,635
|
|
45,528
|
11.2
|
|
Provision for credit
losses
|
460
|
|
545
|
(15.6)
|
|
1,674
|
|
2,291
|
(26.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INTEREST INCOME
AFTER PROVISION
|
|
|
|
|
|
|
|
|
|
|
FOR CREDIT
LOSSES
|
12,266
|
|
11,824
|
3.7
|
|
48,961
|
|
43,237
|
13.2
|
|
|
|
|
|
|
|
|
|
|
|
|
NONINTEREST
INCOME
|
|
|
|
|
|
|
|
|
|
|
Service charges on deposit accounts
|
1,045
|
|
971
|
7.6
|
|
3,879
|
|
3,628
|
6.9
|
|
Trust and investment fee income
|
360
|
|
410
|
(12.2)
|
|
1,557
|
|
1,532
|
1.6
|
|
Gains on sales and calls of investment securities
|
-
|
|
-
|
-
|
|
-
|
|
5
|
-
|
|
Gain on sale of insurance agency
|
12,736
|
|
-
|
-
|
|
12,736
|
|
-
|
-
|
|
Insurance agency commissions
|
1,991
|
|
1,898
|
4.9
|
|
9,006
|
|
8,837
|
1.9
|
|
Other noninterest income
|
778
|
|
1,060
|
(26.6)
|
|
3,911
|
|
3,748
|
4.3
|
|
Total noninterest income
|
16,910
|
|
4,339
|
289.7
|
|
31,089
|
|
17,750
|
75.1
|
|
|
|
|
|
|
|
|
|
|
|
|
NONINTEREST
EXPENSE
|
|
|
|
|
|
|
|
|
|
|
Salaries and wages
|
5,319
|
|
5,503
|
(3.3)
|
|
21,691
|
|
20,011
|
8.4
|
|
Employee benefits
|
1,017
|
|
1,081
|
(5.9)
|
|
5,174
|
|
4,645
|
11.4
|
|
Occupancy expense
|
747
|
|
746
|
0.1
|
|
3,050
|
|
2,696
|
13.1
|
|
Furniture and equipment expense
|
271
|
|
232
|
16.8
|
|
1,084
|
|
1,035
|
4.7
|
|
Data processing
|
875
|
|
871
|
0.5
|
|
3,455
|
|
3,680
|
(6.1)
|
|
Directors' fees
|
145
|
|
99
|
46.5
|
|
556
|
|
380
|
46.3
|
|
Amortization of intangible assets
|
281
|
|
112
|
150.9
|
|
912
|
|
315
|
189.5
|
|
FDIC insurance premium expense
|
159
|
|
201
|
(20.9)
|
|
771
|
|
599
|
28.7
|
|
Other real estate owned expenses, net
|
228
|
|
(86)
|
365.1
|
|
353
|
|
272
|
29.8
|
|
Legal and professional fees
|
626
|
|
453
|
38.2
|
|
2,058
|
|
2,308
|
(10.8)
|
|
Other noninterest expenses
|
1,506
|
|
1,420
|
6.1
|
|
5,646
|
|
5,261
|
7.3
|
|
Total noninterest expense
|
11,174
|
|
10,632
|
5.1
|
|
44,750
|
|
41,202
|
8.6
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes
|
18,002
|
|
5,531
|
225.5
|
|
35,300
|
|
19,785
|
78.4
|
|
Income tax
expense
|
5,908
|
|
2,833
|
108.5
|
|
10,303
|
|
8,523
|
20.9
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
INCOME
|
$
12,094
|
|
$
2,698
|
348.3
|
|
$
24,997
|
|
$
11,262
|
122.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares outstanding - basic
|
12,749
|
|
12,688
|
0.5
|
|
12,739
|
|
12,682
|
0.4
|
|
Weighted average
shares outstanding - diluted
|
12,766
|
|
12,750
|
0.1
|
|
12,753
|
|
12,718
|
0.3
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income per
common share
|
$
0.95
|
|
$
0.21
|
352.4
|
|
$
1.96
|
|
$
0.89
|
120.2
|
|
Diluted net income
per common share
|
0.95
|
|
0.21
|
352.4
|
|
1.96
|
|
0.89
|
120.2
|
|
Dividends paid per
common share
|
0.09
|
|
0.07
|
28.6
|
|
0.32
|
|
0.22
|
45.5
|
|
Shore Bancshares,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated Average
Balance Sheets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended
|
|
For the Twelve Months
Ended
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
|
|
balance
|
|
rate
|
|
balance
|
|
rate
|
|
balance
|
|
rate
|
|
balance
|
|
rate
|
|
|
Earning
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans (1),
(2), (3)
|
$
1,189,504
|
|
4.50
|
%
|
$
1,062,980
|
|
4.45
|
%
|
$
1,153,169
|
|
4.46
|
%
|
$
983,484
|
|
4.46
|
%
|
|
Investment
securities (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
177,700
|
|
2.46
|
|
211,910
|
|
1.98
|
|
189,879
|
|
2.26
|
|
201,792
|
|
1.91
|
|
|
Tax-exempt
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
87
|
|
5.42
|
|
|
Interest-bearing deposits
|
18,164
|
|
2.25
|
|
19,878
|
|
1.30
|
|
14,707
|
|
1.94
|
|
30,819
|
|
1.08
|
|
|
Total earning assets
|
1,385,368
|
|
4.20
|
%
|
1,294,768
|
|
3.99
|
%
|
1,357,755
|
|
4.13
|
%
|
1,216,182
|
|
3.95
|
%
|
|
Cash and due from
banks
|
18,204
|
|
|
|
18,589
|
|
|
|
17,327
|
|
|
|
15,896
|
|
|
|
|
Other
assets
|
70,858
|
|
|
|
74,700
|
|
|
|
71,110
|
|
|
|
64,854
|
|
|
|
|
Allowance for credit
losses
|
(10,591)
|
|
|
|
(9,504)
|
|
|
|
(10,278)
|
|
|
|
(9,181)
|
|
|
|
|
Total
assets
|
$
1,463,839
|
|
|
|
$
1,378,553
|
|
|
|
$
1,435,914
|
|
|
|
$
1,287,751
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand
deposits
|
$
218,519
|
|
0.53
|
%
|
$
222,321
|
|
0.24
|
%
|
$
215,600
|
|
0.32
|
%
|
$
210,139
|
|
0.20
|
%
|
|
Money market
and savings deposits
|
378,163
|
|
0.68
|
|
382,438
|
|
0.12
|
|
378,344
|
|
0.27
|
|
339,971
|
|
0.12
|
|
|
Brokered
deposits
|
22,816
|
|
2.17
|
|
-
|
|
-
|
|
14,844
|
|
2.12
|
|
-
|
|
-
|
|
|
Certificates
of deposit $100,000 or more
|
97,023
|
|
0.94
|
|
110,458
|
|
0.49
|
|
98,331
|
|
0.67
|
|
118,723
|
|
0.51
|
|
|
Other time
deposits
|
141,702
|
|
0.80
|
|
158,241
|
|
0.49
|
|
146,492
|
|
0.57
|
|
152,959
|
|
0.53
|
|
|
Interest-bearing deposits
|
858,223
|
|
0.73
|
|
873,458
|
|
0.27
|
|
853,611
|
|
0.41
|
|
821,792
|
|
0.27
|
|
|
Short-term
borrowings
|
72,462
|
|
2.66
|
|
6,087
|
|
0.86
|
|
77,311
|
|
2.12
|
|
4,525
|
|
0.68
|
|
|
Long-term
borrowings
|
14,348
|
|
2.89
|
|
-
|
|
-
|
|
3,616
|
|
2.89
|
|
-
|
|
-
|
|
|
Total interest-bearing liabilities
|
945,033
|
|
0.91
|
%
|
879,545
|
|
0.27
|
%
|
934,538
|
|
0.56
|
%
|
826,317
|
|
0.28
|
%
|
|
Noninterest-bearing
deposits
|
339,222
|
|
|
|
328,802
|
|
|
|
326,677
|
|
|
|
296,283
|
|
|
|
|
Accrued expenses and
other liabilities
|
6,370
|
|
|
|
6,313
|
|
|
|
5,917
|
|
|
|
5,410
|
|
|
|
|
Stockholders'
equity
|
173,214
|
|
|
|
163,893
|
|
|
|
168,782
|
|
|
|
159,741
|
|
|
|
|
Total liabilities and
stockholders' equity
|
$
1,463,839
|
|
|
|
$
1,378,553
|
|
|
|
$
1,435,914
|
|
|
|
$
1,287,751
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
spread
|
|
|
3.29
|
%
|
|
|
3.72
|
%
|
|
|
3.57
|
%
|
|
|
3.67
|
%
|
|
Net interest
margin
|
|
|
3.58
|
%
|
|
|
3.81
|
%
|
|
|
3.74
|
%
|
|
|
3.76
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) All amounts are
reported on a tax-equivalent basis computed using the statutory
federal income tax rate of 21.0%,
|
|
|
|
|
|
|
|
|
for the fourth quarter
of 2018 and the year to date period in 2018 and 35% for all
quarters during 2017, exclusive of the alternative minimum tax
rate
|
and
nondeductible interest expense.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) Average loan
balances include nonaccrual loans.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3) Interest income
on loans includes amortized loan fees, net of costs and accretion
of discounts on acquired loans,
|
|
|
|
|
|
|
|
|
which
are included in the yield calculations.
|
|
|
|
|
|
|
|
|
Shore Bancshares,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Highlights
By Quarter
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4th
Quarter
|
|
3rd
Quarter
|
|
2nd
Quarter
|
|
1st
Quarter
|
|
4th
Quarter
|
|
Q4 2018
|
|
Q4 2018
|
|
|
2018
|
|
2018
|
|
2018
|
|
2018
|
|
2017
|
|
compared
to
|
|
compared
to
|
|
|
Q4
2018
|
|
Q3 2018
|
|
Q2 2018
|
|
Q1 2018
|
|
Q4 2017
|
|
Q3 2018
|
|
Q4 2017
|
|
PROFITABILITY FOR THE
PERIOD
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable-equivalent net
interest income
|
$
12,756
|
|
$
12,975
|
|
$
12,661
|
|
$
12,357
|
|
$
12,430
|
|
(1.7)
|
%
|
2.6
|
%
|
Less:
Taxable-equivalent adjustment
|
30
|
|
28
|
|
28
|
|
28
|
|
61
|
|
7.1
|
|
(50.8)
|
|
Net interest
income
|
12,726
|
|
12,947
|
|
12,633
|
|
12,329
|
|
12,369
|
|
(1.7)
|
|
2.9
|
|
Provision for credit
losses
|
460
|
|
307
|
|
418
|
|
489
|
|
545
|
|
49.8
|
|
(15.6)
|
|
Noninterest
income
|
16,910
|
|
4,710
|
|
4,540
|
|
4,929
|
|
4,339
|
|
259.0
|
|
289.7
|
|
Noninterest
expense
|
11,174
|
|
11,286
|
|
10,828
|
|
11,462
|
|
10,632
|
|
(1.0)
|
|
5.1
|
|
Income before income
taxes
|
18,002
|
|
6,064
|
|
5,927
|
|
5,307
|
|
5,531
|
|
196.9
|
|
225.5
|
|
Income tax
expense
|
5,908
|
|
1,610
|
|
1,536
|
|
1,249
|
|
2,833
|
|
267.0
|
|
108.5
|
|
Net income
|
$
12,094
|
|
$
4,454
|
|
$
4,391
|
|
$
4,058
|
|
$
2,698
|
|
171.5
|
|
348.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
3.28
|
%
|
1.21
|
%
|
1.24
|
%
|
1.18
|
%
|
0.78
|
%
|
207
|
bp
|
250
|
bp
|
Return on average
equity
|
27.70
|
|
10.38
|
|
10.58
|
|
9.97
|
|
6.53
|
|
1,732
|
|
2,117
|
|
Return on average tangible
equity (1)
|
34.42
|
|
13.36
|
|
13.65
|
|
12.70
|
|
8.36
|
|
2,106
|
|
2,606
|
|
Net interest
margin
|
3.58
|
|
3.76
|
|
3.79
|
|
3.83
|
|
3.81
|
|
(18)
|
|
(23)
|
|
Efficiency ratio -
GAAP
|
37.70
|
|
63.92
|
|
63.05
|
|
66.42
|
|
63.63
|
|
(2,622)
|
|
(2,593)
|
|
Efficiency ratio - Non-GAAP
(1)
|
36.72
|
|
62.23
|
|
61.56
|
|
65.67
|
|
62.73
|
|
(2,551)
|
|
(2,601)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PER SHARE
DATA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income per common
share
|
$
0.95
|
|
$
0.35
|
|
$
0.34
|
|
$
0.32
|
|
$
0.21
|
|
171.4
|
%
|
352.4
|
%
|
Diluted net income per
common share
|
0.95
|
|
0.35
|
|
0.34
|
|
0.32
|
|
0.21
|
|
171.4
|
|
352.4
|
|
Dividends paid per common
share
|
0.09
|
|
0.08
|
|
0.08
|
|
0.07
|
|
0.07
|
|
12.5
|
|
28.6
|
|
Book value per common share
at period end
|
14.37
|
|
13.45
|
|
13.19
|
|
12.95
|
|
12.90
|
|
6.8
|
|
11.4
|
|
Tangible book value per
common share at period end (1)
|
12.77
|
|
10.96
|
|
10.68
|
|
10.42
|
|
10.36
|
|
16.5
|
|
23.3
|
|
Market value at period
end
|
14.54
|
|
17.82
|
|
19.02
|
|
18.86
|
|
16.70
|
|
(18.4)
|
|
(12.9)
|
|
Market range:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
High
|
18.32
|
|
19.84
|
|
20.09
|
|
19.80
|
|
18.49
|
|
(7.7)
|
|
(0.9)
|
|
Low
|
12.95
|
|
16.63
|
|
17.92
|
|
16.28
|
|
15.74
|
|
(22.1)
|
|
(17.7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE BALANCE SHEET
DATA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
$
1,189,504
|
|
$
1,174,513
|
|
$
1,141,296
|
|
$
1,106,213
|
|
$
1,062,980
|
|
1.3
|
%
|
11.9
|
%
|
Investment
securities
|
177,700
|
|
178,572
|
|
186,453
|
|
197,285
|
|
211,910
|
|
(0.5)
|
|
(16.1)
|
|
Earning assets
|
1,385,368
|
|
1,370,573
|
|
1,341,050
|
|
1,313,249
|
|
1,294,768
|
|
1.1
|
|
7.0
|
|
Assets
|
1,463,839
|
|
1,457,074
|
|
1,425,947
|
|
1,396,001
|
|
1,378,553
|
|
0.5
|
|
6.2
|
|
Deposits
|
1,197,445
|
|
1,192,845
|
|
1,161,790
|
|
1,168,613
|
|
1,202,260
|
|
0.4
|
|
(0.4)
|
|
Stockholders'
equity
|
173,214
|
|
170,299
|
|
166,480
|
|
165,070
|
|
163,893
|
|
1.7
|
|
5.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CREDIT QUALITY
DATA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net charge-offs
|
$
445
|
|
$
100
|
|
$
84
|
|
$
352
|
|
$
59
|
|
345.0
|
%
|
654.2
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
$
16,655
|
|
$
7,362
|
|
$
6,757
|
|
$
7,009
|
|
$
4,971
|
|
126.2
|
|
235.0
|
|
Loans 90 days past due and
still accruing
|
139
|
|
3
|
|
-
|
|
61
|
|
639
|
|
4,533.3
|
|
(78.2)
|
|
Other real estate
owned
|
1,222
|
|
1,518
|
|
1,569
|
|
1,569
|
|
1,794
|
|
(19.5)
|
|
(31.9)
|
|
Total nonperforming
assets
|
$
18,016
|
|
$
8,883
|
|
$
8,326
|
|
$
8,639
|
|
$
7,404
|
|
102.8
|
|
143.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accruing troubled debt
restructurings (TDRs)
|
$
8,663
|
|
$
8,933
|
|
$
9,620
|
|
$
9,726
|
|
$
13,326
|
|
(3.0)
|
|
(35.0)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total nonperforming assets
and accruing TDRs
|
$
26,679
|
|
$
17,816
|
|
$
17,946
|
|
$
18,365
|
|
$
20,730
|
|
49.7
|
|
28.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL AND CREDIT
QUALITY RATIOS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period-end equity to
assets
|
12.35
|
%
|
11.63
|
%
|
11.58
|
%
|
11.60
|
%
|
11.75
|
%
|
72
|
bp
|
60
|
bp
|
Period-end tangible equity
to tangible assets (1)
|
11.13
|
|
9.69
|
|
9.59
|
|
9.55
|
|
9.65
|
|
144
|
|
148
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annualized net charge-offs
to average loans
|
0.15
|
|
0.03
|
|
0.03
|
|
0.13
|
|
0.02
|
|
12
|
|
13
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses
as a percent of:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period-end
loans
|
0.87
|
|
0.87
|
|
0.87
|
|
0.89
|
|
0.89
|
|
-
|
|
(2)
|
|
Nonaccrual
loans
|
62.10
|
|
140.29
|
|
149.79
|
|
141.50
|
|
196.76
|
|
(7,819)
|
|
(13,466)
|
|
Nonperforming
assets
|
57.41
|
|
116.27
|
|
121.56
|
|
114.80
|
|
132.10
|
|
(5,886)
|
|
(7,469)
|
|
Accruing
TDRs
|
119.39
|
|
115.62
|
|
105.21
|
|
101.97
|
|
73.40
|
|
377
|
|
4,599
|
|
Nonperforming assets and
accruing TDRs
|
38.77
|
|
57.97
|
|
56.40
|
|
54.00
|
|
47.18
|
|
(1,920)
|
|
(841)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
a percent of total loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans
|
1.39
|
|
0.62
|
|
0.58
|
|
0.63
|
|
0.45
|
|
77
|
|
94
|
|
Accruing TDRs
|
0.72
|
|
0.76
|
|
0.83
|
|
0.87
|
|
1.22
|
|
(4)
|
|
(50)
|
|
Nonaccrual loans and accruing TDRs
|
2.12
|
|
1.38
|
|
1.42
|
|
1.50
|
|
1.67
|
|
74
|
|
45
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
a percent of total loans+other real estate owned:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming assets
|
1.51
|
|
0.75
|
|
0.72
|
|
0.77
|
|
0.68
|
|
76
|
|
83
|
|
Nonperforming assets and accruing TDRs
|
2.23
|
|
1.51
|
|
1.55
|
|
1.64
|
|
1.89
|
|
72
|
|
34
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
a percent of total assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans
|
1.12
|
|
0.50
|
|
0.47
|
|
0.49
|
|
0.36
|
|
62
|
|
76
|
|
Nonperforming assets
|
1.21
|
|
0.60
|
|
0.57
|
|
0.61
|
|
0.53
|
|
61
|
|
68
|
|
Accruing TDRs
|
0.58
|
|
0.61
|
|
0.66
|
|
0.68
|
|
0.96
|
|
(3)
|
|
(38)
|
|
Nonperforming assets and accruing TDRs
|
1.80
|
|
1.21
|
|
1.24
|
|
1.29
|
|
1.49
|
|
59
|
|
31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See the
reconciliation table on page 12 of 12.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shore Bancshares,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
Statements of Income By Quarter
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In thousands, except
per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q4 2018
|
|
Q4 2018
|
|
|
|
|
|
|
|
|
|
|
|
|
compared
to
|
|
compared
to
|
|
|
Q4
2018
|
|
Q3 2018
|
|
Q2 2018
|
|
Q1 2018
|
|
Q4 2017
|
|
Q3 2018
|
|
Q4 2017
|
|
INTEREST
INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on loans
|
$
13,452
|
|
$
13,205
|
|
$
12,631
|
|
$
12,044
|
|
$
11,855
|
|
1.9
|
%
|
13.5
|
%
|
Interest on investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
1,339
|
|
947
|
|
982
|
|
1,021
|
|
1,048
|
|
41.4
|
|
27.8
|
|
Interest on deposits with other banks
|
103
|
|
84
|
|
61
|
|
38
|
|
65
|
|
22.6
|
|
58.5
|
|
Total interest income
|
14,894
|
|
14,236
|
|
13,674
|
|
13,103
|
|
12,968
|
|
4.6
|
|
14.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest on deposits
|
1,577
|
|
826
|
|
580
|
|
548
|
|
586
|
|
90.9
|
|
169.1
|
|
Interest on short-term borrowings
|
486
|
|
463
|
|
461
|
|
226
|
|
13
|
|
5.0
|
|
3,638.5
|
|
Interest on long-term borrowings
|
105
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Total interest expense
|
2,168
|
|
1,289
|
|
1,041
|
|
774
|
|
599
|
|
68.2
|
|
261.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INTEREST
INCOME
|
12,726
|
|
12,947
|
|
12,633
|
|
12,329
|
|
12,369
|
|
(1.7)
|
|
2.9
|
|
Provision for credit
losses
|
460
|
|
307
|
|
418
|
|
489
|
|
545
|
|
49.8
|
|
(15.6)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INTEREST INCOME
AFTER PROVISION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FOR CREDIT
LOSSES
|
12,266
|
|
12,640
|
|
12,215
|
|
11,840
|
|
11,824
|
|
(3.0)
|
|
3.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NONINTEREST
INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service charges on deposit accounts
|
1,045
|
|
982
|
|
947
|
|
905
|
|
971
|
|
6.4
|
|
7.6
|
|
Trust and investment fee income
|
360
|
|
383
|
|
414
|
|
400
|
|
410
|
|
(6.0)
|
|
(12.2)
|
|
Gain on sale of insurance agency
|
12,736
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Insurance agency commissions
|
1,991
|
|
2,170
|
|
2,151
|
|
2,694
|
|
1,898
|
|
(8.2)
|
|
4.9
|
|
Other noninterest income
|
778
|
|
1,175
|
|
1,028
|
|
930
|
|
1,060
|
|
(33.8)
|
|
(26.6)
|
|
Total noninterest income
|
16,910
|
|
4,710
|
|
4,540
|
|
4,929
|
|
4,339
|
|
259.0
|
|
289.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NONINTEREST
EXPENSE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and wages
|
5,319
|
|
5,516
|
|
5,383
|
|
5,473
|
|
5,503
|
|
(3.6)
|
|
(3.3)
|
|
Employee benefits
|
1,017
|
|
1,271
|
|
1,369
|
|
1,517
|
|
1,081
|
|
(20.0)
|
|
(5.9)
|
|
Occupancy expense
|
747
|
|
767
|
|
755
|
|
781
|
|
746
|
|
(2.6)
|
|
0.1
|
|
Furniture and equipment expense
|
271
|
|
251
|
|
275
|
|
287
|
|
232
|
|
8.0
|
|
16.8
|
|
Data processing
|
875
|
|
963
|
|
720
|
|
897
|
|
871
|
|
(9.1)
|
|
0.5
|
|
Directors' fees
|
145
|
|
145
|
|
152
|
|
114
|
|
99
|
|
-
|
|
46.5
|
|
Amortization of intangible assets
|
281
|
|
281
|
|
239
|
|
111
|
|
112
|
|
-
|
|
150.9
|
|
FDIC insurance premium expense
|
159
|
|
193
|
|
214
|
|
205
|
|
201
|
|
(17.6)
|
|
(20.9)
|
|
Other real estate owned expenses, net
|
228
|
|
166
|
|
5
|
|
(46)
|
|
(86)
|
|
37.3
|
|
365.1
|
|
Legal and professional fees
|
626
|
|
463
|
|
505
|
|
464
|
|
453
|
|
35.2
|
|
38.2
|
|
Other noninterest expenses
|
1,506
|
|
1,270
|
|
1,211
|
|
1,659
|
|
1,420
|
|
18.6
|
|
6.1
|
|
Total noninterest expense
|
11,174
|
|
11,286
|
|
10,828
|
|
11,462
|
|
10,632
|
|
(1.0)
|
|
5.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes
|
18,002
|
|
6,064
|
|
5,927
|
|
5,307
|
|
5,531
|
|
196.9
|
|
225.5
|
|
Income tax
expense
|
5,908
|
|
1,610
|
|
1,536
|
|
1,249
|
|
2,833
|
|
267.0
|
|
108.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
INCOME
|
$
12,094
|
|
$
4,454
|
|
$
4,391
|
|
$
4,058
|
|
$
2,698
|
|
171.5
|
|
348.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares outstanding - basic
|
12,749
|
|
12,748
|
|
12,744
|
|
12,715
|
|
12,688
|
|
0.0
|
|
0.5
|
|
Weighted average
shares outstanding - diluted
|
12,766
|
|
12,761
|
|
12,757
|
|
12,731
|
|
12,750
|
|
0.0
|
|
0.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income per
common share
|
$
0.95
|
|
$
0.35
|
|
$
0.34
|
|
$
0.32
|
|
$
0.21
|
|
171.4
|
|
352.4
|
|
Diluted net income
per common share
|
0.95
|
|
0.35
|
|
0.34
|
|
0.32
|
|
0.21
|
|
171.4
|
|
352.4
|
|
Dividends paid per
common share
|
0.09
|
|
0.08
|
|
0.08
|
|
0.07
|
|
0.07
|
|
12.5
|
|
28.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shore Bancshares,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated Average
Balance Sheets By Quarter
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
balance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q4 2018
|
|
Q4 2018
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
compared
to
|
|
compared
to
|
|
|
Q4
2018
|
|
Q3 2018
|
|
Q2 2018
|
|
Q1 2018
|
|
|
|
Q4 2017
|
|
|
|
Q3 2018
|
|
Q4 2017
|
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
|
|
|
|
|
balance
|
|
rate
|
|
balance
|
|
rate
|
|
balance
|
|
rate
|
|
balance
|
|
rate
|
|
balance
|
|
rate
|
|
|
|
|
|
Earning
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans (1),
(2), (3)
|
1,189,504
|
|
4.50
|
%
|
$
1,174,513
|
|
4.47
|
%
|
$
1,141,296
|
|
4.45
|
%
|
$
1,106,213
|
|
4.44
|
%
|
$
1,062,980
|
|
4.45
|
%
|
1.3
|
%
|
11.9
|
%
|
Investment
securities (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
177,700
|
|
2.46
|
|
178,572
|
|
2.12
|
|
186,453
|
|
2.11
|
|
197,285
|
|
2.07
|
|
211,910
|
|
1.98
|
|
(0.5)
|
|
(16.1)
|
|
Interest-bearing deposits
|
18,164
|
|
2.25
|
|
17,488
|
|
1.91
|
|
13,301
|
|
1.82
|
|
9,751
|
|
1.60
|
|
19,878
|
|
1.30
|
|
3.9
|
|
(8.6)
|
|
Total earning assets
|
1,385,368
|
|
4.20
|
%
|
1,370,573
|
|
4.13
|
%
|
1,341,050
|
|
4.10
|
%
|
1,313,249
|
|
4.06
|
%
|
1,294,768
|
|
3.99
|
%
|
1.1
|
|
7.0
|
|
Cash and due from
banks
|
18,204
|
|
|
|
17,790
|
|
|
|
16,905
|
|
|
|
16,384
|
|
|
|
18,589
|
|
|
|
2.3
|
|
(2.1)
|
|
Other
assets
|
70,858
|
|
|
|
79,065
|
|
|
|
78,185
|
|
|
|
76,336
|
|
|
|
74,700
|
|
|
|
(10.4)
|
|
(5.1)
|
|
Allowance for credit
losses
|
(10,591)
|
|
|
|
(10,354)
|
|
|
|
(10,193)
|
|
|
|
(9,968)
|
|
|
|
(9,504)
|
|
|
|
2.3
|
|
11.4
|
|
Total
assets
|
$
1,463,839
|
|
|
|
$
1,457,074
|
|
|
|
$
1,425,947
|
|
|
|
$
1,396,001
|
|
|
|
$
1,378,553
|
|
|
|
0.5
|
|
6.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand
deposits
|
$
218,519
|
|
0.53
|
%
|
$
221,905
|
|
0.32
|
%
|
$
204,068
|
|
0.21
|
%
|
$
216,808
|
|
0.23
|
%
|
$
222,321
|
|
0.24
|
%
|
(1.5)
|
|
(1.7)
|
|
Money market
and savings deposits
|
378,163
|
|
0.68
|
|
373,357
|
|
0.14
|
|
381,047
|
|
0.13
|
|
380,890
|
|
0.13
|
|
382,438
|
|
0.12
|
|
1.3
|
|
(1.1)
|
|
Brokered
deposits
|
22,816
|
|
2.17
|
|
25,507
|
|
2.01
|
|
10,684
|
|
1.96
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(10.6)
|
|
-
|
|
Certificates
of deposit $100,000 or more
|
97,023
|
|
0.94
|
|
97,563
|
|
0.69
|
|
96,873
|
|
0.54
|
|
101,929
|
|
0.50
|
|
110,458
|
|
0.49
|
|
(0.6)
|
|
(12.2)
|
|
Other time
deposits
|
141,702
|
|
0.80
|
|
145,130
|
|
0.57
|
|
146,946
|
|
0.45
|
|
152,321
|
|
0.48
|
|
158,241
|
|
0.49
|
|
(2.4)
|
|
(10.5)
|
|
Interest-bearing deposits
|
858,223
|
|
0.73
|
|
863,462
|
|
0.36
|
|
839,618
|
|
0.27
|
|
851,948
|
|
0.26
|
|
873,458
|
|
0.27
|
|
(0.6)
|
|
(1.7)
|
|
Short-term
borrowings
|
72,462
|
|
2.66
|
|
87,925
|
|
2.09
|
|
91,980
|
|
2.01
|
|
56,586
|
|
1.62
|
|
6,087
|
|
0.86
|
|
(17.6)
|
|
1,090.4
|
|
Long-term
borrowings
|
14,348
|
|
2.89
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Total interest-bearing liabilities
|
945,033
|
|
0.91
|
%
|
951,387
|
|
0.52
|
%
|
931,598
|
|
0.44
|
%
|
908,534
|
|
0.35
|
%
|
879,545
|
|
0.27
|
%
|
(0.7)
|
|
7.4
|
|
Noninterest-bearing
deposits
|
339,222
|
|
|
|
329,383
|
|
|
|
322,172
|
|
|
|
316,665
|
|
|
|
328,802
|
|
|
|
3.0
|
|
3.2
|
|
Accrued expenses and
other liabilities
|
6,370
|
|
|
|
6,005
|
|
|
|
5,697
|
|
|
|
5,732
|
|
|
|
6,313
|
|
|
|
6.1
|
|
0.9
|
|
Stockholders'
equity
|
173,214
|
|
|
|
170,299
|
|
|
|
166,480
|
|
|
|
165,070
|
|
|
|
163,893
|
|
|
|
1.7
|
|
5.7
|
|
Total liabilities and
stockholders' equity
|
$
1,463,839
|
|
|
|
$
1,457,074
|
|
|
|
$
1,425,947
|
|
|
|
$
1,396,001
|
|
|
|
$
1,378,553
|
|
|
|
0.5
|
|
6.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
spread
|
|
|
3.29
|
%
|
|
|
3.61
|
%
|
|
|
3.66
|
%
|
|
|
3.71
|
%
|
|
|
3.72
|
%
|
|
|
|
|
Net interest
margin
|
|
|
3.58
|
%
|
|
|
3.76
|
%
|
|
|
3.79
|
%
|
|
|
3.83
|
%
|
|
|
3.81
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) All amounts are
reported on a tax-equivalent basis computed using the statutory
federal income tax rate of 21.0%,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
for all quarters of
2018 and 35% for all quarters during 2017, exclusive of the
alternative minimum tax rate
|
|
|
|
|
|
|
and
nondeductible interest expense.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) Average loan
balances include nonaccrual loans.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3) Interest income
on loans includes amortized loan fees, net of costs and accretion
of discounts on acquired loans,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
which
are included in the yield calculations.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shore Bancshares,
Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Generally Accepted Accounting Principles (GAAP)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
and Non-GAAP
Measures
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In thousands, except
per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
YTD
|
|
YTD
|
|
|
Q4
2018
|
|
Q3 2018
|
|
Q2 2018
|
|
Q1 2018
|
|
Q4 2017
|
|
12/31/2018
|
|
12/31/2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following
reconciles return on average equity and return on
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
average
tangible equity (Note 1):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
12,094
|
|
$
4,454
|
|
$
4,391
|
|
$
4,058
|
|
$
2,698
|
|
$
24,997
|
|
$
11,262
|
|
Net income -
annualized (A)
|
$
47,982
|
|
$
17,671
|
|
$
17,612
|
|
$
16,457
|
|
$
10,704
|
|
$
24,997
|
|
$
11,262
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income, excluding
net amortization of intangible assets
|
$
12,304
|
|
$
4,664
|
|
$
4,574
|
|
$
4,143
|
|
$
2,766
|
|
$
25,685
|
|
$
11,453
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income, excluding
net amortization of intangible
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
assets -
annualized (B)
|
$
48,815
|
|
$
18,504
|
|
$
18,346
|
|
$
16,802
|
|
$
10,974
|
|
$
25,685
|
|
$
11,453
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average stockholders'
equity (C)
|
$
173,214
|
|
$
170,299
|
|
$
166,480
|
|
$
165,070
|
|
$
163,893
|
|
$
168,782
|
|
$
159,741
|
|
Less: Average
goodwill and other intangible assets
|
(31,410)
|
|
(31,810)
|
|
(32,088)
|
|
(32,721)
|
|
(32,678)
|
|
(32,003)
|
|
(22,816)
|
|
Average tangible
equity (D)
|
$
141,804
|
|
$
138,489
|
|
$
134,392
|
|
$
132,349
|
|
$
131,215
|
|
$
136,779
|
|
$
136,925
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
equity (GAAP) (A)/(C)
|
27.70
|
%
|
10.38
|
%
|
10.58
|
%
|
9.97
|
%
|
6.53
|
%
|
14.81
|
%
|
7.05
|
%
|
Return on average
tangible equity (Non-GAAP) (B)/(D)
|
34.42
|
%
|
13.36
|
%
|
13.65
|
%
|
12.70
|
%
|
8.36
|
%
|
18.78
|
%
|
8.36
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following
reconciles GAAP efficiency ratio and non-GAAP
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
efficiency
ratio (Note 2):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest expense
(E)
|
$
11,174
|
|
$
11,286
|
|
$
10,828
|
|
$
11,462
|
|
$
10,632
|
|
$
44,750
|
|
$
41,202
|
|
Less:
Amortization of intangible assets
|
(281)
|
|
(281)
|
|
(239)
|
|
(111)
|
|
(112)
|
|
(912)
|
|
(315)
|
|
Adjusted noninterest
expense (F)
|
$
10,893
|
|
$
11,005
|
|
$
10,589
|
|
$
11,351
|
|
$
10,520
|
|
$
43,838
|
|
$
40,887
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income
(G)
|
12,726
|
|
12,947
|
|
12,633
|
|
12,329
|
|
12,369
|
|
50,635
|
|
45,528
|
|
Add:
Taxable-equivalent adjustment
|
30
|
|
28
|
|
28
|
|
28
|
|
61
|
|
114
|
|
242
|
|
Taxable-equivalent
net interest income (H)
|
$
12,756
|
|
$
12,975
|
|
$
12,661
|
|
$
12,357
|
|
$
12,430
|
|
$
50,749
|
|
$
45,770
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest income
(I)
|
$
16,910
|
|
$
4,710
|
|
$
4,540
|
|
$
4,929
|
|
$
4,339
|
|
$
31,089
|
|
17,750
|
|
Less:
Investment securities (gains)
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(5)
|
|
Adjusted noninterest
income (J)
|
$
16,910
|
|
$
4,710
|
|
$
4,540
|
|
$
4,929
|
|
$
4,339
|
|
$
31,089
|
|
$
17,745
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency ratio
(GAAP) (E)/(G)+(I)
|
37.70
|
%
|
63.92
|
%
|
63.05
|
%
|
66.42
|
%
|
63.63
|
%
|
54.76
|
%
|
65.11
|
%
|
Efficiency ratio
(Non-GAAP) (F)/(H)+(J)
|
36.72
|
%
|
62.23
|
%
|
61.56
|
%
|
65.67
|
%
|
62.73
|
%
|
53.57
|
%
|
64.37
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following
reconciles book value per common share and
tangible
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
book value per
common share (Note 1):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders' equity
(L)
|
$
183,185
|
|
$
171,419
|
|
$
168,115
|
|
$
164,977
|
|
$
163,736
|
|
|
|
|
|
Less: Goodwill
and other intangible assets
|
(20,383)
|
|
(31,706)
|
|
(31,987)
|
|
(32,226)
|
|
(32,337)
|
|
|
|
|
|
Tangible equity
(M)
|
$
162,802
|
|
$
139,713
|
|
$
136,128
|
|
$
132,751
|
|
$
131,399
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares outstanding
(N)
|
12,749
|
|
12,748
|
|
12,747
|
|
12,736
|
|
12,688
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per common
share (GAAP) (L)/(N)
|
$
14.37
|
|
$
13.45
|
|
$
13.19
|
|
$
12.95
|
|
$
12.90
|
|
|
|
|
|
Tangible book value
per common share (Non-GAAP) (M)/(N)
|
$
12.77
|
|
$
10.96
|
|
$
10.68
|
|
$
10.42
|
|
$
10.36
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following
reconciles equity to assets and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
tangible
equity to tangible assets (Note 1):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders' equity
(O)
|
$
183,185
|
|
$
171,419
|
|
$
168,115
|
|
$
164,977
|
|
$
163,736
|
|
|
|
|
|
Less: Goodwill
and other intangible assets
|
(20,383)
|
|
(31,706)
|
|
(31,987)
|
|
(32,226)
|
|
(32,337)
|
|
|
|
|
|
Tangible equity
(P)
|
$
162,802
|
|
$
139,713
|
|
$
136,128
|
|
$
132,751
|
|
$
131,399
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Assets (Q)
|
$
1,483,076
|
|
$
1,473,543
|
|
$
1,451,714
|
|
$
1,421,606
|
|
$
1,393,860
|
|
|
|
|
|
Less: Goodwill
and other intangible assets
|
(20,383)
|
|
(31,706)
|
|
(31,987)
|
|
(32,226)
|
|
(32,337)
|
|
|
|
|
|
Tangible assets
(R)
|
$
1,462,693
|
|
$
1,441,837
|
|
$
1,419,727
|
|
$
1,389,380
|
|
$
1,361,523
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period-end
equity/assets (GAAP) (O)/(Q)
|
12.35
|
%
|
11.63
|
%
|
11.58
|
%
|
11.60
|
%
|
11.75
|
%
|
|
|
|
|
Period-end tangible
equity/tangible assets (Non-GAAP) (P)/(R)
|
11.13
|
%
|
9.69
|
%
|
9.59
|
%
|
9.55
|
%
|
9.65
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note 1:
Management believes that reporting tangible equity and tangible
assets more closely approximates the adequacy of capital for
regulatory purposes.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note 2:
Management believes that reporting the non-GAAP efficiency ratio
more closely measures its effectiveness of controlling cash-based
operating activities.
|
|
|
|
|
|
View original content to download
multimedia:http://www.prnewswire.com/news-releases/shore-bancshares-reports-2018-results-300787793.html
SOURCE Shore Bancshares, Inc.